SIR - I am writing in response to Steve Taylor's letter, published in this paper on March 19.

Thames Water continues to provide MRAG with regular and frequent updates about the issues at Mogden through correspondence and discussions.

We have tried to openly and clearly explain the causes and possible solutions to the odour problem, as well as our current programme of investment, which will see £3.7 million spent this year. We have made it clear that our top three operational priorities are leakage, flooding from sewers and odour problems.

Odour alleviation work at Mogden is included within our investment plans for the period 2005 to 2010, although it is not specifically referred to in the public draft business plan on our website.

With well over 300 sewage treatment works, 2,000 pumping stations, 60,000 miles of pipes and sewers and several thousand projects, no single such project is likely to be identified, particularly in general information such as a bill leaflet.

There appears to be some misunderstanding about the "£90m of savings" referred to in the bill leaflet. This is not profit. It is the difference between the £1 billion of wastewater investment allowed by the regulator at the last price review and what has happened in practice as a result of our better procurement and delivery of the programme.

This saving will be offset against the investment needed in the next five-year period (which we hope will include the Mogden project, subject to regulatory approval) keeping bills lower than they would otherwise be. The economic regulation rules work in this way to benefit all customers.

I do apologise that when you tried our PR04 email box you did not receive a reply immediately. I can assure you it is now operating normally and I suggest you retry it should you wish to contact us again electronically.

Details of our current investment programme at Mogden, including £1m of work currently underway, can be found at the website on www.thameswateruk.co.uk/mogden John Sexton, Managing Director, Thames Water Utilities Ltd